Bitcoin Cash Price Technical Analysis – BCH/USD Under Pressure

Key Points

  • Bitcoin cash price extended its decline and now positioned below $400 against the US Dollar.
  • There is a new connecting bearish trend line forming with resistance at $400 on the hourly chart (data feed from Kraken) of BCH/USD.
  • The price may decline further in the short term, but the $350 level is a decent support.

Bitcoin cash price started a downtrend against the US Dollar. BCH/USD is trading below $400 and struggling to gains bids.

Bitcoin Cash Price Resistance

Yesterday, we saw a break below a major bullish trend line at $460-450 on the hourly chart of Bitcoin cash price vs the US Dollar. Later, the price corrected higher towards $580. However, the upside move faced sellers and the price moved down below $500. The failure was from the 50% Fib retracement level of the last decline from the $811.00 high to $303.00 low.

The price is currently moving lower and trading below $500. It has already broke the 50% Fib retracement level of the last wave from the $303.00 low to $583.91 high. So, there are chances of more declines as long as the price is below $500. On the upside, there is a new connecting bearish trend line forming with resistance at $400 on the hourly chart of BCH/USD. Once there is a break below the 76.4% Fib retracement level of the last wave from the $303.00 low to $583.91 high, there can be a test of $350.

Bitcoin Cash Price Technical Analysis BCH USD

On the upside, a clear break and close above $400 would call for a test of $500. In the short term, there can be swing moves between $350-500.

Looking at the technical indicators:

Hourly MACD – The MACD for BCH/USD is currently in the bearish zone and struggling.

Hourly RSI (Relative Strength Index) – The RSI is currently well below the 50 level, and slowly moving lower.

Major Support Level – $350

Major Resistance Level – $400

Charts courtesy – Trading View, Kraken

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Source: Newsbtc

loading...